Press Release

Qualcomm Notes Positive Impact of PNTR Vote on CDMA Development and Adoption

May 26, 2000SAN DIEGO

Qualcomm products mentioned within this press release are offered by Qualcomm Technologies, Inc. and/or its subsidiaries.

SAN DIEGO -- May 26, 2000 -- Dr. Irwin Mark Jacobs, chairman and chief executive officer of Qualcomm Incorporated (Nasdaq: QCOM), issued the following statement noting the favorable U.S. House of Representatives vote in support of Permanent Normal Trade Relations (PNTR) with China.

"Qualcomm is very pleased by the House vote in favor of PNTR with China and the positive prospects for China's entry into the World Trade Organization (WTO). PNTR approval is key to expanding United States exports to China."

"PNTR is particularly beneficial to Qualcomm, reducing the prior uncertainty of Chinese government support for a major increase in the use of Code Division Multiple Access (CDMA) technology by China Unicom and possibly others. China has a rapidly expanding need for voice communications and Internet access, both of which are well met by CDMA now and into the indefinite future. Much of the Chinese expansion can now take advantage of the world's first commercial third-generation technology, 1x Multi-Carrier (1xMC), with its order of magnitude advantage over existing non-CDMA technologies in supporting a large subscriber base per base station. Such efficiency is particularly important in the limited radio spectrum available in China's major cities."

"Qualcomm is now supplying 1xMC third-generation chips and software to licensed CDMA infrastructure and subscriber manufacturers worldwide. The Company expects initial deployments of 1xMC networks to begin before the end of this year, and commercial operations by all cdmaOne™ operators worldwide during 2001. Qualcomm is also working with Chinese manufacturers to position them for early entry into infrastructure and handset manufacture of this most advanced technology."

"CDMA systems currently operating in China have been supplied by Korean and U.S. manufacturers. Chinese officials and operators have been closely monitoring the successful performance of the rapidly expanding cdmaOne systems in Korea and Japan as well as the United States. Chinese operators are also interested in trials in Korea and Japan of 1xHDR, which supports up to 2.4 Mbps Internet access, both mobile and fixed, while sharing the same base stations as 1xMC, thus minimizing cost. Other third-generation CDMA systems using wider bandwidths than CDMA 1xMC, such as WCDMA/UMTS, although coming to market later and fully supported by Qualcomm, do not achieve this performance."

Qualcomm Incorporated ( is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. The Company's business areas include integrated CDMA chipsets and system software; technology licensing; Eudora® email software for Windows® and Macintosh® computing platforms; satellite-based systems including portions of the Globalstar™ system and wireless fleet management systems, OmniTRACS® and OmniExpress™. Qualcomm owns patents which are essential to all of the CDMA wireless telecommunications standards that have been adopted or proposed for adoption by standards-setting bodies worldwide. Qualcomm has licensed its essential CDMA patent portfolio to more than 75 telecommunications equipment manufacturers worldwide. Headquartered in San Diego, Calif., Qualcomm is included in theS&P500 Index and is a 2000 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.

Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including: the risk that the transactions contemplated by the agreement may not close, the technical and marketing trials may not be successful, HDR technology may not become commercially deployed, timely product development, the Company's ability to successfully manufacture significant quantities of CDMA or other equipment on a timely and profitable basis, and those related to performance guarantees, change in the economic conditions of the various markets the Company serves, as well as the other risks detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended September 26, 1999, and most recent Form 10-Q.


Qualcomm and OmniTRACS are registered trademarks and OmniExpress is a trademark of Qualcomm Incorporated. Globalstar is a trademark of Loral Qualcomm Satellite Services, Incorporated. cdmaOne is a trademark of the CDMA Development Group (CDG). Windows is a registered trademark of Microsoft Corporation. Macintosh is a registered trademark of Apple Computer Inc. All other trademarks are the property of their respective owners.